FOR IMMEDIATE RELEASE
March 17, 2005
MAYOR MICHAEL R. BLOOMBERG ANNOUNCES MODIFICATION TO FY 2005 SCHOOL CAPITAL CONSTRUCTION BUDGET
City Will Accelerate Its Share of Funding to Cover $2.6 Billion Program Planned for 2005 to Make up for State’s Shortfall
Mayor Michael R. Bloomberg today announced a modification to the Fiscal Year (FY) 2005 Education Capital Plan. The plan for capital financing will be increased by $1.3 billion in FY ’05 to make up for the shortfall caused by the State’s failure to fulfill its obligation to fund capital investment in City schools. The total City contribution to Education Capital Construction in FY ’05 will be increased to $2.6 billion. The City’s share in the plan will be reduced in FY ’06 by $500 million, in FY ’07 by $400 million, in FY ’08 by $300 million and in FY ’09 by $100 million. The $1.3 billion that the State did not provide in FY ’05, but the City expects to receive, will be used to make up the reduction in the City’s commitment in the out-years of the plan.
“Albany’s failure to fulfill the obligations of the CFE lawsuit should not impact our school children,” said Mayor Bloomberg. “While the delays in capital work caused by the State’s failure to provide the capital money have been minimal up to now, our children deserve the best facilities we can possibly provide. The total contribution that the City is making to the plan will not change, but we will double our commitment in the first year of the plan to $2.6 billion to make up for the State’s shortfall. I look forward to working with the Governor and the leadership of the State Assembly and Senate to expedite the delivery of this necessary money to New York City.”
This capital plan is the first time the City has requested a match in capital construction funding from the State. The budget modification will be submitted to the City Council in the next few days.
Edward Skyler / Jordan Barowitz (212) 788-2958